Versusthe Deputy Commissioner Of Income Tax, Circle-2(3)(1), Mumbai & Ors v. Income Tax Officer, Ward-13(3)(1) & Ors

IN THE HIGH COURT OF JUDICATURE AT BOMBAYORDINARY ORIGINAL CIVIL JURISDICTION (403) WRIT PETITION NO. 2744 OF 2022 Kairav Chemofarbe Industries Limited (PAN - ) VersusThe Deputy Commissioner of Income Tax, Circle-1(2)(1), Mumbai & Ors. …Petitioner …Respondents WITH (404) WRIT PETITION NO. 2772 OF 2022Lokhandwala Construction Industries Private LimitedVersusThe Deputy Commissioner of Income Tax, Circle-4(3)(1) & Anr. …Petitioner …Respondents WITH(405) WRIT PETITION NO. 2788 OF 2022Riddhi Siddhi SteelsVersusIncome Tax Officer, Ward-26(2)(1), Mumbai & Ors. …Petitioner …Respondents…Petitioner WITH (405) WRIT PETITION NO. 3501 OF 2022Riddhi Siddhi Steels and AlloysVersusIncome Tax Officer, Ward-26(2)(1), Mumbai & Ors. …Respondents WITH(406) WRIT PETITION NO. 2981 OF 2022Godrej Projects Development LimitedVersus …Petitioner Godrej Projects Development LimitedVersusThe Deputy Commissioner of Income Tax, Circle-1(1)(1), Mumbai & Ors. …Respondents WITH (407) WRIT PETITION NO. 3539 OF 2022 Xerxes Noshir Talati …Petitioner VersusThe Assistant Commissioner of Income Tax, Central Circle-7(1) & Ors. …Respondents WITH (408) WRIT PETITION NO. 3864 OF 2022 Pawansut Dwellers Private Limited …Petitioner VersusThe Deputy Commissioner of Income Tax, Circle-2(3)(1), Mumbai & Ors. …Respondents WITH (409) WRIT PETITION NO. 4235 OF 2022Triangular Dot Creative Solutions Private Limited …Petitioner Versus Income Tax Officer, Ward-13(3)(1) & Ors. …Respondents WITH(410) WRIT PETITION NO. 4305 OF 2022 Standard Chartered Bank (Mauritius) Limited …Petitioner VersusThe Assistant Commissioner of Income Tax (International Taxation), Circle-4(2)(2), Mumbai & Ors. The Assistant Commissioner of Income Tax …Respondents WITH(411) WRIT PETITION NO. 4382 OF 2022 Insearch Management Private Limited …Petitioner VersusIncome Tax Officer, Ward 10(1)(1) & Ors. …Respondents WITH(413) WRIT PETITION NO. 4877 OF 2022 Montage Global Private Limited …Petitioner VersusThe Assistant Commissioner of Income Tax, Circle-2(2)(1) & Anr. …Respondents WITH (414) WRIT PETITION NO. 5324 OF 2022 Stock Guardians India Private Limited …Petitioner VersusThe Deputy Commissioner of Income Tax, Circle-3(3)(1) & Ors. …Respondents WITH(416) WRIT PETITION (L) NO. 22965 OF 2022Sajney Kirkwood Private Limited …Petitioner Versus The Assistant Commissioner of Income Tax, Circle-14(1)(2), Mumbai & Ors.Gitalaxmi WITH (417) WRIT PETITION (L) NO. 26814 OF 2022 Manoj Maheshwari …Petitioner Versus Income Tax Officer, Ward 34(1)(1), Mumbai & Ors. …Respondents WITH (418) WRIT PETITION (L) NO. 28065 OF 2022 Patel KNR Infrastructures Limited …Petitioner Versus The Deputy Commissioner of Income Tax, Circle 2(3)(1), Mumbai & Ors.…Respondents WITH (419) WRIT PETITION (L) NO. 875 OF 2023 …Petitioner NVD Holdings Versus The Assistant Commissioner of Income Tax, …Respondent INTL Tax, Circle-(3)(1) WITH (420) WRIT PETITION NO. 1606 OF 2023 ENARR Advisors Private Limited …Petitioner Versus Income Tax Officer, Ward 6(2)(1), Mumbai & Anr. …Respondents WITH (421) WRIT PETITION NO. 1734 OF 2023 Deena Anant Shah…Petitioner Versus The Assistant Commissioner of Income Tax, Circle 17(1) & Ors. …Respondents WITH (422) WRIT PETITION NO. 1777 OF 2023 Anant G. ShahVersus …Petitioner The Assistant Commissioner of Income Tax, Circle 17(1) & Ors.…Respondents WITH (424) WRIT PETITION NO. 2034 OF 2023 Suresh Gopaldas Agrawal…Petitioner Versus Union of India through its Secretary & Ors. …Respondents WITH …Respondent INTL Tax, Circle-(3)(1) WITH (420) WRIT PETITION NO. 1606 OF 2023 ENARR Advisors Private Limited …Petitioner Versus Income Tax Officer, Ward 6(2)(1), Mumbai & Anr. …Respondents WITH (421) WRIT PETITION NO. 1734 OF 2023 Deena Anant Shah…Petitioner Versus The Assistant Commissioner of Income Tax, Circle 17(1) & Ors. …Respondents WITH (422) WRIT PETITION NO. 1777 OF 2023 Anant G. ShahVersus …Petitioner The Assistant Commissioner of Income Tax, Circle 17(1) & Ors.…Respondents WITH (424) WRIT PETITION NO. 2034 OF 2023 Suresh Gopaldas Agrawal…Petitioner Versus Union of India through its Secretary & Ors. …Respondents WITH (425) WRIT PETITION NO. 2077 OF 2023Amit Suresh Agrawal…PetitionerVersusUnion of India & Ors.…Respondents WITH(426) WRIT PETITION (L) NO. 8905 OF 2023Bipin Mohanlal Soneta…PetitionerVersusThe Assistant Commissioner of Income Tax, Circle 26(1)…Respondent …Respondent WITH (415) WRIT PETITION NO. 12167 OF 2022(CIVIL APPELLATE JURISDICTION) Desai Brothers Limited…PetitionerVersusAssistant Commissioner of Income Tax & Anr. …Respondents Mr. Devendra H. Jain a/w Ms. Radha Halbe for Petitioners in WP/2744/2022 & WPL/8905/2023.Dr. K. Shivaram, Senior Advocate a/w Mr. Rahul Hakani for Petitioner in WP/2772/2022.Mr. Dharan V. Gandhi for Petitioners in WP/2788/2022 & WP/3501/2022.Mr. Jeet Kamdar i/b Mr. Atul K Jasani for Petitioner in WP/2981/2022.Mr. B. V. Jhaveri a/w Mr. Navin P. Sachanandani for Petitioner in WP/3539/2022.Mr. Ruturaj H. Gurjar for Petitioner in WP/3864/2022.Mr. P. S. Jetly, Senior Advocate a/w Mr. Sham V. Walve and Mr. Sameer G. Dalal for Petitioner in WP/3864/2022.Mr. Gautam Thacker i/b Mr. Atul K. Jasani for Petitioners in WPL/22965/2022 & WP/4305/2022.Mr. Sham V. Walve a/w Mr. Abhishek Khandelwal for Petitioner in WP/4382/2022.Ms. Kavita Jha a/w Mr. Pankaj Soni i/b Vaish Associates for Petitioner in WP/4877/2022.Mr. Sham V. Walve a/w Mr. Sameer G. Dalal for Petitioner in WP/5324/2022.Mr. Nitesh Joshi a/w Mr. Gautam Thacker i/b Mr. Atul K Jasani forPetitioner in WPL/22965/2022.Mr. Gautam Thacker i/b Ms. Jinal Shah for Petitioner in WPL/26814/2022.Mr. Madhur Agrawal a/w Mr. Upendra Lokegaonkar i/b Mint and Confreres for Petitioner in WPL/28065/2022. Mr. Sukhsagar Syal i/b Mr. Atul K. Jasani for Petitioner in WPL/875/2023. Mr. Rahul Hakani for Petitioner in WP/1606/2023. Ms. Dinkle Hariya a/w Ms. Rashmi Vyas for Petitioners in WP/1734/2023 & WP/1777/2023. Mr. Sukhsagar Syal i/b Mr. Vishal Thaker for Petitioners in WP/2034/2023 & WP/2077/2023. Ms. Deepa Khare i/b Mint and Confreres for Petitioner in WP/12167/2022. Mr. N. C. Mohanty for Respondents-Revenue in WP/3864/2022 & WPL/28065/2022. Ms. Sruti Kalyanikar i/b Mr. Subir Kumar for Respondents- Revenue in WPL/875/2023. Mr. Suresh Kumar for Respondents in rest of the petitions. PC : CORAM:K. R. SHRIRAM &DR. NEELA GOKHALE, JJ.DATED:20[th] February 2024 1.These petitions relate to Assessment Year 2018- 2019. 2.Petitioners are impugning notices issued under Section148A(b) of the Income Tax Act, 1961 (“the Act”), the orders passedunder Section 148A(d) of the Act. One of the grounds raised is that the sanction to pass the order under Section 148A(d) of the Act andissuance of notice under Section 148 of the Act is invalid inasmuch as the sanction has been admittedly issued by the PrincipalCommissioner of Income Tax (“PCIT”) and not by the Principal ChiefCommissioner of Income Tax (PCCIT”). 3.Counsels for Petitioners state these petitions are covered by the order dated 6[th] February 2024 passed by this Court in the case of Vodafone Idea Limited v. Deputy Commissioner of Income Tax, Circle- 5(2)(1), Mumbai & Ors.[1]. Counsels for Respondents agree. 2019. 2.Petitioners are impugning notices issued under Section148A(b) of the Income Tax Act, 1961 (“the Act”), the orders passedunder Section 148A(d) of the Act. One of the grounds raised is that the sanction to pass the order under Section 148A(d) of the Act andissuance of notice under Section 148 of the Act is invalid inasmuch as the sanction has been admittedly issued by the PrincipalCommissioner of Income Tax (“PCIT”) and not by the Principal ChiefCommissioner of Income Tax (PCCIT”). 3.Counsels for Petitioners state these petitions are covered by the order dated 6[th] February 2024 passed by this Court in the case of Vodafone Idea Limited v. Deputy Commissioner of Income Tax, Circle- 5(2)(1), Mumbai & Ors.[1]. Counsels for Respondents agree. 4.The impugned orders and the impugned notices both state thatthe Authority that has accorded the sanction, is the PCIT, Mumbai-5.The matters pertain to Assessment Year 2018-2019 and since theimpugned orders as well as the notices are issued in the year 2022,both have been issued beyond a period of three years. Therefore, thesanctioning authority has to be the PCCIT as provided under Section151(ii) of the Act. The proviso to Section 151 of the Act has beeninserted only with effect from 1[st] April 2023 and, therefore, shall notbe applicable to the matters at hand. 5.In the circumstances, as held by this Court in Siemens Financial Services Private Limited Vs. Deputy Commissioner of Income Tax & Ors.[2], the sanction is invalid and consequently, the impugned ordersand impugned notices under Sections 148A(d) and 148 of the Act arehereby quashed and set aside. 6.Petitions disposed. No order as to costs. All rights andcontentions are kept open. (DR. NEELA GOKHALE, J.) (K. R. SHRIRAM, J.) 1. Writ Petition No. 2768 of 2022.2. (2023) 457 ITR 647 (Bom.).